As of 4 Jan 2012, my total school loan debt is $198,692.07. That is an astronomical amount. Your initial thoughts may be that I went to schools that were too expensive (perhaps), or that I did not work during school (not true), or that I didn’t have any scholarships (definitely not true). This is how easy it is, despite best-efforts and academic merit, to rack up $200,000 in school loan debt.
Coming out of high school I was an above-average student from my high school’s class of 2001. My GPA was a 3.95 (no AP courses), my SATs were 1190 (old system), and my rank was 13/169. I had no savings, no college fund, and my parents had made it clear that my college education would be my responsibility (Since when did it become society’s expectation that parents will pay for their children’s higher education?)
I applied to three schools to which I had a good chance of being accepted. I was wait-listed by Bentley College in MA, and accepted to Sacred Heart University (SHU) in CT, and Bryant College in RI. When the financial aid sight-picture became clear, my out-of-pocket cost for both Bryant and SHU would be $8000/year. Since it was a financial toss-up between the two schools and every other metric was roughly equal, I chose SHU because it had a higher female/male ratio (not the best reason to select an institution of higher learning). Year 1 cost: $8000. This is on par with what it would have cost for a state school so I was not financially penalized for going to a private school.
Freshman year I was admitted to the honors program based on my academics and was awarded a track and field athletic scholarship. I also requested a review of my financial aid. Based on my new circumstances, my total out of pocket cost would simply be room and board. To offset this cost I became a resident assistant. My cost for years 2-4 would be $0.
Due to the aforementioned athletic scholarship, I opted to stay on campus over the summer so I could utilize the training facilities. I obtained a part time job through the school that covered my room and board on campus and allowed me to make use of the training facilities. Since I was the only one of my friends that was going to remain on campus year-round, I opted to take a full course load during the summer (15 credits). While it is entirely possible to complete a college degree in 3 years by utilizing this strategy and save a significant amount of money, the financial aid options for this route are nil. Total cost for 15 credits: $15000 (all loans). I repeated this for two more years, graduating in 3 years with a dual major 3.78 GPA, and school loan debt totaling $52,000. That is with academic scholarships, an athletic scholarship, a year-round job, and working as a resident assistant.
While I always had planned on going to law school after my undergraduate degree, I also did not want to abandon my track and field teammates with one year of NCAA eligibility remaining. My coach was gracious enough to up my scholarship to cover the loss of all undergraduate financial aid. After my calculations and accounting for my part time job, I would still need a loan of $5000 to cover housing, food, gas, and my cell phone for the year. $5000 to obtain an MBA in 1 year, while still being able to compete athletically? It was a bargain. Total cost for MBA: $5000. Total school loan debt for undergraduate and MBA: $57000.
That year I made my costliest mistake, I applied to law schools before the deadline. However, I did not understand the concept of rolling admissions. I should have applied to law schools starting in the fall. My LSATs were not great (151) but my undergrad GPA 3.78 in an honors program and my MBA GPA 3.65 coupled with the fact that I completed both in under four calendar years while competing as a division 1 athlete (achieving All-East, All-New England, and All-Conference team status), holding a job, working as a resident assistant, and being active in clubs on campus should have compensated for the LSAT score. I applied to four schools that were well within reach, Nebraska, Northeastern, Tennessee, and Buffalo. I was promptly rejected by all four. Desperate to attend law school I applied to every school that was still accepting applications: Thomas Jefferson, Roger Williams (RWU), Quinnipiac, and Pace. I was wait-listed by Thomas Jefferson, Quinnipiac, and quite frankly I don’t recall the status of my Pace application. I was accepted by RWU in the 11th hour. After filing all my paperwork RWU would cost me approximately $35000/year. A last-second admission to a student with below average LSATs does not require an enticement with scholarship money.
I lived with a friend for free during law school. A cost-saving measure not available to most and for which I am grateful. However, I still had to pay for my vehicle, gas, food, books, clothing, and other basic living expenses. I only borrowed the amount available for school (it was all I qualified for). I worked the overnight shift at a school for kids in state custody to cover my living costs. I do not recommend working overnights during your 1L year. During the summer, I became an officer in the Marine Corps. This guaranteed I had a job after law school, effectively removing the employment hurdle many law students face today. I also had applied for transfer admission to the University of Tennessee and was rejected for the second time (the cost would have been $9,000 instead of $35,000) I took mostly night classes my 2L and 3L years to allow me to work. I taught high school first as a substitute teacher and then full time at a charter school in Providence, RI. I graduated on time with a 2.98 GPA. Total law school cost: $105,000.00. Total school loan debt: $162,000.
Once all the deferments, capitalization, consolidations, etc. are added up; minus payments I have already made, I am 198,692.07 in school loan debt.